India’s smartphone market grew by 5.2% in 2016, with the country registering the shipment of 10.91 crore units during the year, research and analytics firm International Data Corporation said. In a report published on Monday, IDC said smartphone mobile manufacturers shipped 2.58 crore smartphone units during the fourth quarter of the calendar year, a decline of 20.3% from the previous quarter. The firm said that this was because of a “seasonal decline” as well as the effect of demonetisation on end-of-year sales.
Senior Market Analyst for Client Devices Karthik J said the migration from feature phones to smartphones had slowed down because of high prices. “Long battery life and durability of feature phones continues to be relevant for large numbers of users in this category,” he said. Feature phones recorded annual shipments of 136.1 million units.
Samsung, Lenovo and Micromax were the top three smartphone manufacturers in the country this year, recording a market share of 24.8%, 8.9% and 8.8% [Note: Percentages for Lenovo include both its own handsets and units sold under its Motorola brand].
However, the total market share of Chinese smartphone manufacturers rose to 46% for the fourth quarter, with total shipments for those companies doubling, according to IDC. Market Analyst for Client Devices Jaipal Singh said that this was the first time that no domestic vendor was able to make it to the top five spots. “The decision of [Chinese vendors] sticking with a 3G-heavy portfolio and prioritising the price game over product experience is working against the dominance of homegrown vendors,” Singh said.